How to Manage Cashflow - new article in the business school
New article in the business school under "Classroom", you can download the document How to Manage Cash Flow - Business School · Marketing Plan Accelerator (skool.com) How to Manage Cashflow •Top tips for managing cash flow •We all realize that times are tough, and in many cases, the Top tips for managing cash flow Cash is king. In many cases, the key to running a robust business is the management of cash flow. Below are a series of tips that could help you improve your current cash flow situation. You may find it helpful to have a meeting with your finance manager and go through the tips below. After the discussion you may find out that cash flow is well managed in your company. But if you identify any gaps, you may find these tips useful in taking some practical steps to improve your cash management. You may also want to share these tips with your customers and in particular with those businesses that you know could benefit from advice. • Project your cash flow •Projecting your cash flow in advance will enable you to identify periods when cash flow might be tight, allowing you to look at potential credit facilities to help the business through this period. You’ll also be in a stronger position to negotiate a credit line when you don’t actually need it. • Call in the cash promptly ·Ask your customers to send their orders to you by fax or e-mail ·Send your invoice at the earliest opportunity. The earlier you send it the greater the chances of you being paid on time ·Encourage electronic forms of payment (such as BACS) to speed up the process of money being received ·Cash cheques immediately ·Adopt a ‘carrot and stick’ approach to customers based on how good they are at paying their bills on time. Look at offering discounts to customers that pay before the due date, or cash on delivery. Apply ‘late payment fees’ to customers that are late with payments.